Insurance executives’ salaries rise up to 8.7%

Insurance executives’ salaries rise up to 8.7%

A new study by a leading compensation and benefits consulting firm has found a “more robust” increase of 6.5% to 8.7% in the salaries of insurance industry executives this year.

According to the 2016 Executive and Professional Positions in Insurance (EPPI) Compensation Survey, the base salaries of insurance company CEOs increased by 8.2%.

Those holding executive positions below the CEO had a 6.6% pay rise, except CFOs who saw an 8.7% increase in their salaries.

“These increases are more robust than we’ve seen over the last couple of years,” said Tom Bailey, project director for the EPPI survey.

“As the economy improves, these companies are offering their employees higher annual salary increases in the form of market-oriented base salaries; and generous bonuses related to individual and company performance to combat the potential of employee defections to other companies,” Bailey added.

The EPPI survey was conducted by Total Compensation Solutions (TCS), a firm that focuses on insurance industry pay practices. It compiled pay data and personnel policies for over 400 insurance companies of diverse size and lines-of-business.

TCS said the survey serves as a valuable tool for boards of directors and executives who lead the polled insurance companies and who set the pay for industry officials, middle managers and professional staff.